The Michigan Supreme Court made a significant ruling on Wednesday, overruling the Legislature and reinstating major changes to the state's minimum wage and paid sick leave laws. This decision is seen as a victory for low-wage workers in the state.
In a 4-3 decision, the court determined that Republican lawmakers had violated the state constitution in their handling of the laws. These laws were the result of a 2018 petition drive that garnered over 280,000 signatures from Michigan residents.
The Legislature had the option to either put the proposed laws on the ballot for voters to decide or adopt them directly. However, GOP lawmakers chose to approve the laws and subsequently diluted them after the 2018 election, before Democratic Gov. Gretchen Whitmer assumed office in 2019. The rollback legislation was signed by outgoing Republican Gov. Rick Snyder, leading to years of legal challenges that culminated in the recent Supreme Court decision.
Justice Elizabeth Welch, along with three other justices aligned with the Democratic Party, emphasized that allowing the Legislature to repeal a law it had just passed in the same session undermines the voters' role in the lawmaking process.
As a result of the court's ruling, Michigan's minimum wage, currently set at $10.33 per hour (with lower rates for workers in tip industries), will see changes. A new wage schedule, adjusted for inflation by the state treasurer, will come into effect in February of next year and will increase in subsequent years. Additionally, the law will phase out the lower minimum wage for tipped workers in restaurants over time.
Furthermore, the sick leave provisions in the reinstated laws will require many businesses to provide paid time off to their employees.
On the other hand, the Michigan Chamber, a statewide business organization, expressed disappointment with what they termed as the 'court's activism' in this matter.
